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The Crosby Corporation has an 1 1 . 5 % ROE and payouts 4 5 % of its earnings as dividends. It recently paid a

The Crosby Corporation has an 11.5% ROE and payouts 45% of its earnings as dividends. It recently paid a dividend of $3.25 and the stock is currently selling for $40.a. What is the growth rate for Crosby Corporation?b. What is the expected return for Crosbys stock?c. If you require a 13% return, should you invest in the firm?

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